THE highest paid employee at Frankston Council will likely stay in the job after councillors decided to hand CEO Dennis Hovenden a new four-year contract after his current deal expires on 28 October.
Councillors voted behind closed doors – as is customary when discussing a CEO contract – after March’s council meeting to extend Mr Hovenden’s stay as council chief without seeking external applicants.
Notice of council’s intention to reappoint Mr Hovenden as CEO will be advertised publicly before it is officially confirmed.
Mr Hovenden joined Frankston Council from Swan Hill Rural City Council in September 2012.
The CEO received a near 10 per cent remuneration rise last month, with his annual pay including salary, superannuation and the use of a council vehicle, rising from his $297,000 to $325,000 (‘Council pay up as rates rise’, The Times 13/4/15).
The mayor Cr Sandra Mayer said Mr Hovenden “has saved council millions of dollars”.
“Dennis Hovenden has been a huge asset to Frankston city, saving the city millions of dollars through his sound financial management, creating opportunities for advocacy and community engagement, along with overseeing hundreds of millions in construction projects.”
The mayor cited bringing parking enforcement “in house”, outsourcing internal audit work and a restructure of council – including a reduction in the number of directors from four to three – as cost saving measures spearheaded by Mr Hovenden.
The CEO had also initiated “a strict review of all new appointments to ensure tight control of employee numbers,” the mayor said.
“Council was experiencing underlying deficits up until the CEO Dennis Hovenden commenced at council. After this time with cost cutting and efficiency measures, there was a turnaround of this performance measure.”
Frankston Council’s 2015-16 budget forecast shows an underlying operational surplus of $14 million.
Council advised The Times that Mr Hovenden’s pay will not rise again in November if his reappointment proceeds as expected.
